The Basics of Commercial Property Underwriting and Rating: COPE

VU/ABEN Basics & Beyond webseries—Beyond

Today's commercial property underwriters use the same information their predecessors used nearly 400 years ago: Construction, Occupancy, Protection, and Exposure. Combined, these four elements are known as "COPE underwriting."

​There is no "magic" to commercial property underwriting. The "magic" is in knowing how these four key elements direct the property underwriter’s decision: 1) to extend coverage; and 2) how to price the property.

There is no "magic" to commercial property underwriting. The "magic" is in knowing how these four key elements direct the property underwriter’s decision: 1) to extend coverage; and 2) how to price the property.

All four parts of COPE are detailed in this class. Students leave understanding:

Construction: How to determine the proper construction class (1-6); why square footage matters; and how age affects the underwriting decision? We will also discuss mixed-construction issues – this is worth the price of admission.

Occupancy: Why HOW the insured does what they do matters more than what they do.

Protection: The basics of sprinkler systems, fire extinguishers, alarm systems, fire doors and fire walls and public fire protection; how each affects property pricing will also be discussed.

Exposure: The external factors that affect the insured property.

With this information, you will know how to paint the proper property picture to help your underwriter, your client, and ultimately you.

ABEN webcasts and the Big "I" Virtual University have partnered together to create a new series of webcasts to start participants at the basics of insurance and then take them beyond to advanced knowledge. This course is the third in the "Beyond" section of classes.​